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Monday, March 12, 2007

RegionsAir Shuts Down

After struggling and an attempt to sell off its assets, RegionsAir was forced to close last week. The airline provided AmericanConnection flights out of St. Louis to nine cities and Continental Connection flights out of Cleveland to three West Virginia cities. Related Story  The carrier took heavy blows when American’s hub at Raleigh, N.C. was shut down prior to 9-11 and then later suffered from the shutdown of its service to Midway. Several of the points served under the Continental banner notified the Department of Transportation months ago, they were seeking a new carrier for the EAS service RegionsAir now provides. It is also a victim of low subsidy rates and rising costs that conspire to harm EAS carrier balance sheets. Related Story  American issued a statement its agents will rebook passengers without penalty for the 27 roundtrip Jetstream 32 flights.

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